Retail sales plummeted to their lowest level in nearly 39 years to send the markets tumbling during the midday with the Dow slumping 362 points to 8777. Nasdaq plunged 59 points to 1623.
On the upside
October same store sales for Hot Topic (Nasdaq: HOTT) surprised analyst by soaring 8.3% prompting the specialty retailer to lift its third quarter earnings guidance.Although Activision Blizzard (Nasdaq: ATVI) reported a loss for the third quarter, the results topped analyst estimates. The video game publisher also announced a $1 billion stock repurchase plan.
Conseco (NYSE: CNO) widened third quarter losses due to investment losses and divestiture charges but the results were better than expected.
On the downside
THQ (Nasdaq: THQI) announced restructuring plans including the elimination of jobs after widening third quarter losses. Analyst downgraded the video game publisher.
Valassis Communications (NYSE: VCI) blamed the economy for swinging to a third quarter loss. The newspaper insert distributor lowered its full year cash earnings outlook.
Las Vegas Sands (NYSE: LVS) warned that it must raise more capital and may miss certain financial covenant requirements.
In the broad market, declining issues outpaced advancers by a margin of nearly 5 to 1 on the NYSE and by nearly 3 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks tumbled 15 points to 500.
